AreaPhilippines

Commodity GroupRice

CommodityAll

Date22/08/2022

Policy CategoryProduction

Policy InstrumentProduction support, Government procurement, stock-holding policy

DescriptionAs part of its 2023 budgetary allocations, announced that it intended to raise funds destined for the agricultural sector by 39.2 percent year-on-year to PHP 184.1 (USD 3.1) billion. Of these, PHP 12.0 billion (USD 203 million) would go to fund the purchase of 631 579 tonnes of locally produced paddy by the National Food Authority in order to raise the country's rice buffer stock from the equivalent of nine days' worth of consumption to 15 days of consumption. Separate funds would go to stockpile high quality seeds of rice and maize, while allocations to the National Rice Programme would receive a 93 percent annual boost to PHP 30.5 billion (USD 517 million), with the bulk of the increase going to fund an expansion in fertilizer assistance to rice producers. This would be in addition to the PHP 10 billion (USD 169 million) of support to the rice sector channelled under the Rice Competitiveness Enhancement Fund. Among other efforts to assist the agricultural sector, infrastructural improvements would be pursued, such as the construction/rehabilitation of farm-to-market roads and of agricultural facilities; land distribution would be expedited; farm machinery and equipment would be purchased; steps to expand producer access to credit and crop insurance would also be taken, alongside efforts to support farmers and fishers cope with increased fuel costs.

NotesExchange rate as of 15 October 2022.